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Tractor Supply Co (Tractor Supply Co) Beneish M-Score : -2.56 (As of Apr. 26, 2024)


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What is Tractor Supply Co Beneish M-Score?

The zones of discrimination for M-Score is as such:

An M-Score of equal or less than -1.78 suggests that the company is unlikely to be a manipulator.
An M-Score of greater than -1.78 signals that the company is likely to be a manipulator.

Good Sign:

Beneish M-Score -2.56 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

The historical rank and industry rank for Tractor Supply Co's Beneish M-Score or its related term are showing as below:

TSCO' s Beneish M-Score Range Over the Past 10 Years
Min: -3.78   Med: -2.63   Max: -2.22
Current: -2.56

During the past 13 years, the highest Beneish M-Score of Tractor Supply Co was -2.22. The lowest was -3.78. And the median was -2.63.


Tractor Supply Co Beneish M-Score Historical Data

The historical data trend for Tractor Supply Co's Beneish M-Score can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Tractor Supply Co Beneish M-Score Chart

Tractor Supply Co Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Beneish M-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only -3.78 -2.86 -2.44 -2.90 -2.56

Tractor Supply Co Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Beneish M-Score Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -2.73 -2.19 -3.31 -2.56 -

Competitive Comparison of Tractor Supply Co's Beneish M-Score

For the Specialty Retail subindustry, Tractor Supply Co's Beneish M-Score, along with its competitors' market caps and Beneish M-Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Tractor Supply Co's Beneish M-Score Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Tractor Supply Co's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where Tractor Supply Co's Beneish M-Score falls into.



Tractor Supply Co Beneish M-Score Calculation

The M-score was created by Professor Messod Beneish. Instead of measuring the bankruptcy risk (Altman Z-Score) or business trend (Piotroski F-Score), M-score can be used to detect the risk of earnings manipulation. This is the original research paper on M-score.

The M-Score Variables:

The M-score of Tractor Supply Co for today is based on a combination of the following eight different indices:

M=-4.84+0.92 * DSRI+0.528 * GMI+0.404 * AQI+0.892 * SGI+0.115 * DEPI
=-4.84+0.92 * 0+0.528 * 0.9747+0.404 * 1.0991+0.892 * 1.0118+0.115 * 1.0107
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1.0164+4.679 * -0.047052-0.327 * 0.9928
=-3.58

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

This Year (Mar24) TTM:Last Year (Mar23) TTM:
Total Receivables was $0 Mil.
Revenue was 3394.834 + 3659.841 + 3411.98 + 4184.695 = $14,651 Mil.
Gross Profit was 1220.854 + 1293.063 + 1250.479 + 1514.769 = $5,279 Mil.
Total Current Assets was $3,519 Mil.
Total Assets was $9,555 Mil.
Property, Plant and Equipment(Net PPE) was $5,686 Mil.
Depreciation, Depletion and Amortization(DDA) was $400 Mil.
Selling, General, & Admin. Expense(SGA) was $3,381 Mil.
Total Current Liabilities was $2,518 Mil.
Long-Term Debt & Capital Lease Obligation was $4,704 Mil.
Net Income was 198.167 + 247.903 + 255.001 + 421.234 = $1,122 Mil.
Non Operating Income was 0 + 0 + 0 + 0 = $0 Mil.
Cash Flow from Operations was 257.408 + 396.107 + 155.605 + 762.767 = $1,572 Mil.
Total Receivables was $3 Mil.
Revenue was 3299.225 + 4006.375 + 3270.804 + 3903.406 = $14,480 Mil.
Gross Profit was 1169.908 + 1363.625 + 1165.815 + 1386.255 = $5,086 Mil.
Total Current Assets was $3,459 Mil.
Total Assets was $8,849 Mil.
Property, Plant and Equipment(Net PPE) was $5,095 Mil.
Depreciation, Depletion and Amortization(DDA) was $363 Mil.
Selling, General, & Admin. Expense(SGA) was $3,288 Mil.
Total Current Liabilities was $2,350 Mil.
Long-Term Debt & Capital Lease Obligation was $4,387 Mil.




1. DSRI = Days Sales in Receivables Index

Measured as the ratio of Revenue in Total Receivables in year t to year t-1.

A large increase in DSR could be indicative of revenue inflation.

DSRI=(Receivables_t / Revenue_t) / (Receivables_t-1 / Revenue_t-1)
=(0 / 14651.35) / (2.621 / 14479.81)
=0 / 0.000181
=0

2. GMI = Gross Margin Index

Measured as the ratio of gross margin in year t-1 to gross margin in year t.

Gross margin has deteriorated when this index is above 1. A firm with poorer prospects is more likely to manipulate earnings.

GMI=GrossMargin_t-1 / GrossMargin_t
=(GrossProfit_t-1 / Revenue_t-1) / (GrossProfit_t / Revenue_t)
=(5085.603 / 14479.81) / (5279.165 / 14651.35)
=0.35122 / 0.360319
=0.9747

3. AQI = Asset Quality Index

AQI is the ratio of asset quality in year t to year t-1.

Asset quality is measured as the ratio of non-current assets other than Property, Plant and Equipment to Total Assets.

AQI=(1 - (CurrentAssets_t + PPE_t) / TotalAssets_t) / (1 - (CurrentAssets_t-1 + PPE_t-1) / TotalAssets_t-1)
=(1 - (3519.484 + 5685.921) / 9554.954) / (1 - (3458.921 + 5095.379) / 8848.815)
=0.036583 / 0.033283
=1.0991

4. SGI = Sales Growth Index

Ratio of Revenue in year t to sales in year t-1.

Sales growth is not itself a measure of manipulation. However, growth companies are likely to find themselves under pressure to manipulate in order to keep up appearances.

SGI=Sales_t / Sales_t-1
=Revenue_t / Revenue_t-1
=14651.35 / 14479.81
=1.0118

5. DEPI = Depreciation Index

Measured as the ratio of the rate of Depreciation, Depletion and Amortization in year t-1 to the corresponding rate in year t.

DEPI greater than 1 indicates that assets are being depreciated at a slower rate. This suggests that the firm might be revising useful asset life assumptions upwards, or adopting a new method that is income friendly.

DEPI=(Depreciation_t-1 / (Depreciaton_t-1 + PPE_t-1)) / (Depreciation_t / (Depreciaton_t + PPE_t))
=(362.649 / (362.649 + 5095.379)) / (400.109 / (400.109 + 5685.921))
=0.066443 / 0.065742
=1.0107

Note: If the Depreciation, Depletion and Amortization data is not available, we assume that the depreciation rate is constant and set the Depreciation Index to 1.

6. SGAI = Sales, General and Administrative expenses Index

The ratio of Selling, General, & Admin. Expense(SGA) to Sales in year t relative to year t-1.

SGA expenses index > 1 means that the company is becoming less efficient in generate sales.

SGAI=(SGA_t / Sales_t) / (SGA_t-1 /Sales_t-1)
=(3381.459 / 14651.35) / (3287.857 / 14479.81)
=0.230795 / 0.227065
=1.0164

7. LVGI = Leverage Index

The ratio of total debt to Total Assets in year t relative to yeat t-1.

An LVGI > 1 indicates an increase in leverage

LVGI=((LTD_t + CurrentLiabilities_t) / TotalAssets_t) / ((LTD_t-1 + CurrentLiabilities_t-1) / TotalAssets_t-1)
=((4704.247 + 2517.755) / 9554.954) / ((4387.187 + 2349.7) / 8848.815)
=0.755838 / 0.761332
=0.9928

8. TATA = Total Accruals to Total Assets

Total accruals calculated as the change in working capital accounts other than cash less depreciation.

TATA=(IncomefromContinuingOperations_t - CashFlowsfromOperations_t) / TotalAssets_t
=(NetIncome_t - NonOperatingIncome_t - CashFlowsfromOperations_t) / TotalAssets_t
=(1122.305 - 0 - 1571.887) / 9554.954
=-0.047052

An M-Score of equal or less than -1.78 suggests that the company is unlikely to be a manipulator. An M-Score of greater than -1.78 signals that the company is likely to be a manipulator.

Tractor Supply Co has a M-score of -3.58 suggests that the company is unlikely to be a manipulator.


Tractor Supply Co Beneish M-Score Related Terms

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Tractor Supply Co (Tractor Supply Co) Business Description

Address
5401 Virginia Way, Brentwood, TN, USA, 37027
Tractor Supply is the largest operator of retail farm and ranch stores in the United States. The company targets recreational farmers and ranchers and has little exposure to commercial and industrial farm operations. Currently, the company operates 2,198 of its namesake banners in 49 states, including 81 Orscheln Farm and Home stores (to be converted to Tractor Supply banners), along with 195 Petsense by Tractor Supply stores. Stores are generally concentrated in rural communities, as opposed to urban and suburban areas. In fiscal 2022, revenue consisted primarily of livestock and pet (50%), hardware, tools, and truck (19%), and seasonal gift and toy (21%).
Executives
Joy Brown director TRACTOR SUPPLY, 5401 VIRGINIA WAY, BRENTWOOD TN 37027
Kurt D Barton officer: SVP Chief Financial Officer 5401 VIRGINIA WAY, BRENTWOOD TN 37027
Margaret M Ham director 14100 MCCORD RD., HUNTERSVILLE NC 28078
Jonathan S Estep officer: SVP General Merchandising TRACTOR SUPPLY, 5401 VIRGINIA WAY, BRENTWOOD TN 37027
Robert D Mills officer: SVP-Chief Information Officer TRACTOR SUPPLY COMPANY, 5401 VIRGINIA WAY, BRENTWOOD TN 37027
Yankee Colin officer: EVP Supply Chain TRACTOR SUPPLY, 5401 VIRGINIA WAY, BRENTWOOD TN 37027
Melissa Kersey officer: EVP Chief HR Officer TRACTOR SUPPLY, 5401 VIRGINIA WAY, BRENTWOOD TN 37027
Noni L Ellison officer: SVP General Counsel TRACTOR SUPPLY, 5401 VIRGINIA WAY, BRENTWOOD TN 37027
Matthew L. Rubin officer: SVP Petsense GM TRACTOR SUPPLY, 5401 VIRGINIA WAY, BRENTWOOD TN 37027
Lawton Iii Harry A director, officer: President & CEO C/O EBAY INC., 2065, SAN JOSE CA 95125
Edna Morris director TRACTOR SUPPLY COMPANY, 5401 VIRGINIA WAY, BRENTWOOD TN 37027
Mark J Weikel director 4743 ENGLISH PLEAASURE DRIVE, MASON OH 45040
Kimberley S. Gardiner officer: SVP Chief Marketing Officer 3845 PACIFIC STREET, LONG BEACH CA 90807
Andre J Hawaux director 4000 DAIN RAUSCHER PLAZA, 60 SOUTH SIXTH STREET, MINNEAPOLIS MN 55402
Cynthia T Jamison director TRACTOR SUPPLY COMPANY, 5401 VIRGINIA WAY, BRENTWOOD TN 37027

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